Tim Sebert and Randy Thomas came up with the idea for the MLM company Genusity.

Late in 2017, BehindMLM looked at Genusity. We saw a Multi-Level Marketing (MLM) opportunity that involved selling bluetooth spam devices.

Today, Genusity sells a number of supplements under their own brand names…

…and a Ponzi scheme that takes $195 and gives back $10,330.

“MyGenStart Cycler” is the name of the Ponzi scheme that Genusity is running. The Ponzi scheme can be reached through the back office of Genusity or through the domain “mygenstart.com,” which is not part of Genusity.

Affiliates of Genusity can put $195 into a MyGenStart Cycler position.

The MyGenStart Cycler from Genusity has five levels. It uses a 22 and 23 matrix.

In a 22 matrix, an affiliate is at the top, and there are two spots right under them:

The first level of the matrix is made up of these two spots. The second level of the matrix is made by dividing each of the first two positions into two more (four positions).

There are six positions in a 22 matrix.

A 23 matrix takes the idea one step further by adding a third level, which gives the matrix eight more spots:

There are a total of 14 positions in a 22 matrix.

Positions in a cycler matrix are filled by new and existing Genusity affiliates who buy more positions.

When every spot in a matrix is filled, this is called a “cycle.”

Payments for the MyGenStart Cycler from Genusity are as follows:

first level, first cycle (first level, two-by-two matrix) – A $30 cycle commission is given for the GenCation product, which also creates a new first-tier second-cycle position and a second-tier first-cycle position for the next cycle (first-tier 22 matrix). – $90 cycle commission and creates a new first tier second cycle position second tier first cycle (second tier 22 matrix). – No commission, GenMink product is given away and creates a new second tier second cycle and third tier first cycle position second tier second cycle and subsequent cycles (second tier 22 matrix). – $150 cycle commission and creates a new second tier second cycle position third tier first cycle (third tier 22 matrix). – No commission, GenBurn product is given, IR rank qualification bonus is given, and a new position on the second cycle of the third tier and the first cycle of the fourth tier (third tier 22 matrix) is made. – $400 cycle commission and creates a new third-tier second-cycle position fourth-tier first-cycle (fourth-tier 23 matrix). – $300 commission and a new position on the second cycle of the fourth level and the first cycle of the fifth level (fourth-level 23 matrix). – $2000 cycle commission and creates a new fifth-tier first-cycle position (fifth-tier 23 matrix). – A $10,000 cycle commission and a new fifth-tier first-cycle position are created.

When an affiliate that you personally brought in cycles out of a third-tier matrix, you get a $20 commission.

When a person you recruited cycles out of a fifth-tier matrix, you can also get a Matching Bonus:

Affiliates who are ranked by IR get $500

Affiliates who are ranked as gold earn $1000

Affiliates with the Platinum and Diamond ranks get paid $1500.

Lastly, keep in mind that Genusity’s website doesn’t talk about the “GenCation” product that comes with an affiliate’s first first-tier cycle. I have no idea what it is.

Genusity’s MyGenStart Cycler is a Ponzi scheme because cycle commissions are paid out of the money invested in the next position.

All Genusity does is move around newly paid-in funds to pay returns to investors who have already invested.

Genusity’s MyGenStart Cycler has a return on investment (ROI) of $195 in and $10,330 out. Each cycle after the first one in each tier costs between $90 and $10,000 more.

Affiliates of Genusity have cut the cost of marketing the MyGenStart Cycler down to $195 in and $10,000 out.

Tim Sebert and Randy Thomas, who make up Genusity, live in North Carolina in the United States. Most of Genusity’s affiliates are also thought to live in the US.

MyGenStart Cycler is a securities offering because it can be used as a passive investment ($195 in, $10,000+ out).

Note that getting people to join a Ponzi scheme doesn’t change the fact that the returns paid out are paid for by other people in the scheme. This makes the returns passive.

At the time this was written, neither Genusity nor Sebert nor Thomas had signed up with the SEC.

This means that Genusity, Sebert, and Thomas have cheated the stock market. In the US, you can also be charged with wire fraud and money laundering if you run a Ponzi scheme.

As with all MLM Ponzi schemes, once affiliate recruitment stops, cycle commissions will also stop.

Being a Ponzi cycler will show up in Genusity in the form of matrices stopping.

When enough MyGenStart Cycler matrices stop working, they collapse in a way that can’t be fixed.

Math shows that most people who take part in Ponzi schemes will lose money.